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Global Business Travel (NYSE:GBTG) Misses Q3 Sales Targets

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Global Business Travel (NYSE:GBTG) Misses Q3 Sales Targets

B2B travel services company Global Business Travel (NYSE:GBTG) missed Wall Street’s revenue expectations in Q3 CY2024 as sales rose 4.6% year on year to $597 million. The company’s full-year revenue guidance of $2.43 billion at the midpoint came in slightly below analysts’ estimates. Its GAAP loss of $0.28 per share was also 251% below analysts’ consensus estimates.

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  • Revenue: $597 million vs analyst estimates of $613.5 million (2.7% miss)

  • EPS: -$0.28 vs analyst estimates of -$0.08 (-$0.20 miss)

  • EBITDA: $118 million vs analyst estimates of $115.9 million (1.9% beat)

  • The company dropped its revenue guidance for the full year to $2.43 billion at the midpoint from $2.47 billion, a 1.6% decrease

  • EBITDA guidance for the full year is $475 million at the midpoint, in line with analyst expectations

  • Gross Margin (GAAP): 60.3%, up from 58.5% in the same quarter last year

  • Operating Margin: 4.5%, up from -0.7% in the same quarter last year

  • EBITDA Margin: 19.8%, up from 16.6% in the same quarter last year

  • Free Cash Flow Margin: 9.9%, up from 7.8% in the previous quarter

  • Transaction Value: 7.75 billion, up 629 million year on year

  • Market Capitalization: $3.63 billion

Paul Abbott, Amex GBT’s Chief Executive Officer, stated: “We continue to execute on our strategy and deliver strong results with a focus on share gains, margin expansion and investing for growth. Our recent share buyback and larger scale authorization demonstrate our confidence in our long term strategy. “

Holding close ties to American Express, Global Business Travel (NYSE:GBTG) is a comprehensive travel and expense management services provider to corporations worldwide.

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Reviewing a company’s long-term performance can reveal insights into its business quality. Any business can have short-term success, but a top-tier one sustains growth for years. Over the last three years, Global Business Travel grew its sales at an incredible 57.7% compounded annual growth rate. This is a useful starting point for our analysis.

Global Business Travel Total Revenue

This quarter, Global Business Travel’s revenue grew 4.6% year on year to $597 million, falling short of Wall Street’s estimates.

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